News: Big Four Banks back Gina Rinehart iron ore

.

Australia’s Big Four Banks are among a series of overseas institutions who have helped Gina Rinehart secure funding for her Roy Hill iron ore mine in West Australia’s Pilbara region. 

 

A $US7.2 billion long term finance agreement was signed in Singapore overnight which completed the funding package for the $US10 billion project. 

 

The finance deal comprises of loans and guarantees from five export credit agencies and a consortium of 19 commercial banks from Australia, Japan, Europe, China, Korea and Singapore.

 

The Australian banks include Commonwealth Bank of Australia (ASX:CBA), ANZ Banking Group (ASX:ANZ), National Australia Bank Limited (ASX:NAB) and Westpac Banking Corporation (ASX:WBC). 

 

Roy Hill CEO Barry Fitzgerald says the package is the largest ever project financing for the development of a land-based project world-wide.  

 

The Roy Hill project is 70 per cent controlled by Gina Rinehart's company, Hancock Prospecting with the remaining interest owned by South Korean steel giant Posco and Japanese steelmaker Marubeni.